and loyalty programmes in spas as this tact helped its sales in department stores

Written by Helen Patenall, deputy editor, Spa Business Handbook

ASK AN EXPERT Retail

What sales tips can we learn from consumer retail brands which have ventured into spa operations?

88 spa business handbook 2011

T

he spa industry is notorious for its inabil- ity or reluctance to sell skincare products, despite retailing being a far more cost-

eff ective way to boost the bottom line than treatments which require more people-power. Go to any industry event and the experts

will tell you that most spas should be aim- ing for a 30/70 split in revenue, with 30 per cent coming from product purchases and 70 per cent from treatment sales. But talk to the operators and they’ll tell you that the industry average is closer to 10 per cent or less. So, what’s going wrong? Is it the design of

retail areas? Are products still being locked away in glass cabinets with no price tags? Has enough attention been paid to marketing dis- plays and point of sale materials? Training therapists to improve their sales

technique is also vital to retail success. But if sales training is given, is the use of this

new-found knowledge being monitored? Is continual support off ered or are commission/ promotional schemes in place? Over recent years a number of consumer

skincare brands – sold in high street stores with products displayed against rival brands – have spread their wings and launched their own-branded spas. Some of the big names include Clarins, Dove, Nivea, Molton Brown, L’Occitane and Sulwhasoo. All these companies recognise the fact that

a spa setting provides the perfect marketing platform for their target audience. So, what might spa operators learn from them? And how have these retail giants adapted to the spa environment, especially when therapists have been added to the sales process? We’ve asked four retail-turned-pro skincare

brands to share their knowledge of how to market products within a spa environment.